Upfront

Wireless data users in the enterprise segment are expected to reach nearly 9 million in 2003, up from a paltry 784,000 in 1999, according to the Cahners In-Stat Group. The key drivers of this market will be large businesses, as these companies transition from niche-oriented vertical applications to horizontal ones, such as Internet access for ępull" content, e-mail, and database access. Digital packet services (2.5G) will also help stimulate wireless-data services.

In 1999, about 50 million people were mobile, spending 20% of their time away from their desks, according to In-Stat. With this trend in mind, the pressure is on for service providers to offer compelling services at reasonable data speeds and prices. The In-Stat report shows that 49% of business users would like to access the Internet through wireless means.

These users want to be able to pull content when they want it, rather than have it ępushed" at them. Users also want access to location-based services from a pull-type database.

Another key application in the wireless-data market is e-commerce capabilities, according to Forrester Research. Service providers will need to change their business models to allow remote access of e-commerce services. Although mobile e-commerce will most likely be enabled by a simpler infrastructure through 3G technology, Forrester believes that 3G is not needed for mobile e-commerce. By upgrading existing cellular networks, wireless data can be had for a lot less cost than future 3G networks.

Forrester believes mobile e- commerce will take about 3 years to evolve, coming first in the form of voice and basic information, and finally full Internet access. Partnerships with on-line content providers will be key in ensuring compelling content, as well as with mobile data specialists for service bureau functions, customer support, and Web-based technologies.

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